Financial results

• Revenues amounted to 94 342 million rubles, which is 6% higher than the result for the year 2016 – 89 359 million rubles In dollar terms revenue increased by 21% – from 1 to 333 million dollars. Of $ 1 617 million. USA.
• EBITDA* amounted to 29 817 million RUB., has changed slightly compared to the result for the year 2016 – 29 856 million rubles In dollar terms EBITDA increased by 15% – from 445 million dollars. USA to 511 million dollars. USA.
• The level of EBITDA margin was 32% against 33% for the year 2016.
• Net profit amounted to RUB 14 260 million (244 million dollars. USA) against 25 525 million rubles ($381 million. USA) for the year 2016.
• Adjusted net profit** was 13 122 million against RUB 13 775 million rubles for the year 2016. In dollar terms adjusted net profit increased by 9%, from 205 million dollars. USA up to $ 225 million. USA.
• Net debt increased by 16% and amounted to RUB 221 60 million compared with the figure at the end of 2016 – 51 949 mln In dollar terms, this figure rose to 22% from 856 to 1 045 million. USA.
• Net debt/ EBITDA was 2.0 against 1.7 at the end of 2016. In dollar terms, this figure amounted to 2,0 and 1,9 at the end of 2016.

Operating results

• The volume of production of key products totalled 7 thousand 332 tons, which is 13% higher than the same indicator for the year 2016.
• Sales of key products totalled 7 279 thousand tons, which is 15% higher than the same indicator for the year 2016.

Commenting on the results, Chairman of the Board of Directors Alexander Popov said:

"Due to the record production figures from the revenue of the Group "Akron" in 2017 rose 21% to 1.6 billion. USA. Our efforts to control costs allowed us to increase EBITDA by 15% to 511 million dollars. The United States, and adjusted net profit – on 9%, to $ 225 million. The US, despite the fact that the US dollar rate against the ruble played against us. We also increased the duration of the loan portfolio to 2.4 from 1.4 at the beginning of the year, increasing the share of long debt from 50% to 75%.

Financial growth and effective credit portfolio allowed the Group "Akron" in the course of 2017 to pay shareholders dividends in the amount of 224 million dollars. USA. The relative debt burden remained moderate: net debt/ EBITDA was 2.0 as opposed to 1.9 at the beginning of the year.

In 2017, we adopted an Investment program until 2025, which is based on further expansion of capacities and production volumes. Feature of the program is its flexibility, which is ensured by the presence of a number of relatively small from the point of view of capital investment projects with relatively short implementation deadlines. Depending on the market we have the opportunity to combine projects and, thereby, adjust the level of investment in future years. Because of this we will maintain focus on the payment of dividends at a controlled debt".